We Are The Peg 🌕

🛡️ The $UST FUD defense movement inspired by @TheMoonMidas

#MferWeAreThePeg

[We Are The Peg 🌕 @wearethepeg]

#MferWeAreThePeg 🌕

[We Are The Peg 🌕 @wearethepeg]

@SabrinaCryptoAd

[We Are The Peg 🌕 @wearethepeg]

#MferWeAreThePeg 🌕
#LUNAtics
$UST $LUNA

[We Are The Peg 🌕 @wearethepeg]

#WeAreThePeg 🌕 #LUNAtics
$UST $LUNA

https://t.co/B0kQBcNhry

[Will Chen @stablechen]

$UST is designed to withstand shocks, that's what an algorithmic stablecoin does

compare if $UST goes to $0.90 or $1.1 vs $USDT - the peg bends in one and breaks in the other.

I blame TFL for creating the wrong expectation with prior posts implying instantaneous peg stability

[Batch Brew Coder @BatchBrewCoder]

1/ To help others understand the $UST arbitrage and why the peg doesn't come back straight away...
There are some parameters that determine the spread when minting and burning $UST / $LUNA. The more mint/burn happens in a day, the higher the spread.

#terraluna

[2sigmas-below @2sigmasA]

After @Remi_Tetot stated that he got tired of the same old $UST death spiral threadooors, the threadooors started a "new" FUD.

-> What happens if $UST 's market cap is higher than $LUNA 's?

A thread 🧵👇

[Larry Engineer 🍡 @larry0x]

9/ With this, we can finally arrive at our conclusion:

𝗨𝗦𝗧 𝗶𝘀 𝗯𝗮𝗰𝗸𝗲𝗱 𝗯𝘆 𝘂𝘀𝗲𝗿 𝗮𝗰𝘁𝗶𝘃𝗶𝘁𝗶𝗲𝘀 𝗼𝗻 𝘁𝗵𝗲 𝗧𝗲𝗿𝗿𝗮 𝗯𝗹𝗼𝗰𝗸𝗰𝗵𝗮𝗶𝗻 𝗮𝗻𝗱 𝗰𝗮𝘀𝗵 𝗳𝗹𝗼𝘄 𝗴𝗲𝗻𝗲𝗿𝗮𝘁𝗲𝗱 𝗯𝘆 𝘀𝘂𝗰𝗵.

[🧩MeetWawa 🐶 @MeetWawa]

5/12 But what happens if $LUNA's market cap drops below $UST's market cap? Well, there will initially be a lot of FUD (fear uncertainty doubt) on how $UST is undercollateralized.

But this is important!

$UST is not backed by $LUNA, but rather, the demand of $LUNA.

[We Are The Peg 🌕 @wearethepeg]

@LunaTheDuck001 🦆♥️
#MferWeAreThePeg 🌕

[We Are The Peg 🌕 @wearethepeg]

@pandalyst I still respect you as a panda 🐼♥️

[We Are The Peg 🌕 @wearethepeg]

#MferWeAreThePeg 🌕

[We Are The Peg 🌕 @wearethepeg]

Ladies and gentlemen, our ruler himself
@stablekwon
#MferWeAreThePeg 🌕

[We Are The Peg 🌕 @wearethepeg]

It's official
#MferWeAreThePeg ���
$UST $LUNA

[We Are The Peg 🌕 @wearethepeg]

@pandalyst reminding everyone how strong the community is behind the Terra ecosystem*

[We Are The Peg 🌕 @wearethepeg]

The only correct conclusion is...
#MferWeAreThePeg 🌕

[Larry Engineer 🍡 @larry0x]

9/ With this, we can finally arrive at our conclusion:

𝗨𝗦𝗧 𝗶𝘀 𝗯𝗮𝗰𝗸𝗲𝗱 𝗯𝘆 𝘂𝘀𝗲𝗿 𝗮𝗰𝘁𝗶𝘃𝗶𝘁𝗶𝗲𝘀 𝗼𝗻 𝘁𝗵𝗲 𝗧𝗲𝗿𝗿𝗮 𝗯𝗹𝗼𝗰𝗸𝗰𝗵𝗮𝗶𝗻 𝗮𝗻𝗱 𝗰𝗮𝘀𝗵 𝗳𝗹𝗼𝘄 𝗴𝗲𝗻𝗲𝗿𝗮𝘁𝗲𝗱 𝗯𝘆 𝘀𝘂𝗰𝗵.